Govt boosts national aviation industry through innovations

Jakarta (ANTARA News) - The Transportation Ministry is boosting national aviation industry through innovations that can improve national competitiveness, Transportation Minister Budi Karya Sumadi said here on Thursday.

"In aviation industry, the margin is very tight and product diversification plays an important role," the minister said at the Indonesian National Air Carriers Association (Inaca) general meeting.

Therefore, he added, the government keeps encouraging the airlines to create innovations that woukd make aviation industry safer, more environmentally friendly and more competitive with efficient infrastructure operation.

The Inaca general meeting which was held under a theme of Enhancing the Agility of Airline Industry is participated in by management representatives of Airbus, Boeing and Bombardier.

Inaca Chairman M Arif Wibowo said national transportation industry currently plays a significant role in increasing local economic sector as it provides transportation, including for goods, people and services, and has a multiplier effect.

"Indonesian aviation industry is rapidly growing, indicated by the increasing number of passengers over time," Budi Karya said.

Data from Air Transportation Directorate at the Ministry of Transportation shows in 2011-2015 the number of domestic passengers increased by 8.43 percent and international passengers rose by 8.39 percent.

In 2015 the total number of domestic passengers recorded at 76.63 million and 9.5 million foreign passengers.

Inaca has 33 national airline members consisting of 11 serving scheduled flights, 20 non-scheduled/chartered and two cargo flights.(*)